First few Article Sentences
California health plans recently filed financial reports for the first nine months of 2013 and a significant majority were profitable. Of the fifty plans that filed two full years of reports to the California Department of Managed Health Care (DMHC), forty-five reported positive net income and only five reported a net loss. This compares favorably to the thirty-four that reported net income and sixteen that reported a loss during the first nine months of 2012.
Tangible Net Equity (TNE) for the plans was generally greater at the end of the third quarter 2013 than at the end of the third quarter 2012. TNE is defined by state statute and measures a planís solvency. It approximates net worth assuming intangible assets are removed and subordinated debt is added. TNE was higher for thirty-eight of the fifty plans.